ECN 101 Chapter Notes - Chapter 3: Coffee Bean, Complementary Good, Demand Curve
16 Dec 2018
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Document Summary
A schedule or curve that shows the various amounts of a product that consumers are. Other things equal, as price falls the quantity demanded rises, and vice versa. As a consumer increases the consumption of a good or service, A firm will purchase more of an input whose relative price has declined and. Demand: willing and able to purchase at each of a series of possible prices during a specified period of time. law of demand: . Diminishing marginal utility: the marginal utility obtained from each additional unit of the good or service decreases. Substitution effect: use less of an input whose relative price has increased. Demand curve: demanded of a good or service and its price, other things equal. Determinants of demand: a good or service. Normal good: when income decreases, price remaining constant. Inferior good: when income decreases, price remaining constant. Goods or services whose consumption rises when income increases and falls.
